What is featherbedding and why do unions engage in the practice?
What will be an ideal response?
Featherbedding is one of the approaches that labor unions use to increase the amount of labor required to produce a given quantity of output. Featherbedding occurs when union rules require more workers than necessary to perform a task. For example, requiring a minimum number of crew members regardless of the difficulty of the job is one type of featherbedding.
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The most important determinant of price elasticity of supply is
a. price elasticity of demand b. technological conditions such as how rapidly costs increase when a firm increases its output c. whether the production process relies heavily on capital or on labor d. the number and closeness of available substitutes e. whether the product is a normal good or an inferior good
In addition to shifting its demand curve to the right, a firm may engage in advertising in order to
a. make its demand curve more elastic b. increase the elasticity of its supply curve c. discourage competition d. make its demand curve less elastic e. decrease consumer awareness